Common use of Unlicensed Competition Clause in Contracts

Unlicensed Competition. If in any country a Third Party sells a pharmaceutical product which is a “Generic Version” of a Drug Product being sold in that country (a “Third Party Product”)—where “Generic Version” means a pharmaceutical product (other than a product originally sold as a Drug Product) that includes the same active ingredient as that used in a Drug Product—then for the period in which the unit sales of such Third Party Product in such country are at least *, the royalties payable to Vertex by Avalon on sales of such Product in such country for such period shall be * of the royalties provided in Section 6.3, but in no event shall the royalties owed for such Drug Product in such country be reduced by more than *, or result in a net royalty rate payable on Net Sales of such Drug Product in such country of less than *.

Unlicensed Competition. If in any country a Third Party sells a pharmaceutical product which is a “Generic Version” "generic version" of a Drug Product being sold in that country (a “"Third Party Product”)—where “Generic Version” Product") -- where "generic version" means a pharmaceutical product (other than a product originally sold as a Drug Product) that includes the same active ingredient as that used in a Drug Product—Product -- then for the period in which the unit sales of such Third Party Product in such country are at least [***], the royalties payable to Vertex VERTEX by Avalon NOVARTIS on sales of such Product in such country for such period shall be * of the royalties provided [***] in Section 6.36.3 , but in no event shall the royalties owed for such Drug Product in such country be reduced by more than *country, or result in a net when combined with any royalty rate reduction provided under Section 6.3.1 hereof, reduce the royalties payable on Net Sales of such Drug Product in such that country of less by more than [*.**]

Unlicensed Competition. If in any country a Third Party sells a pharmaceutical product which is a “Generic Version” of a Drug Product being sold in that country (a “Third Party Product”)—where “Generic Version” means a pharmaceutical product (other than a product originally sold as a Drug Product) that includes the same active ingredient as that used in a Drug Product—then for the period in which the unit sales of such Third Party Product in such country are at least ** , the royalties payable to Vertex by Avalon on sales of such Product in such country for such period shall be * of the royalties provided in Section 6.3, but in no event shall the royalties owed for such Drug Product in such country be reduced by more than ** , or result in a net royalty rate payable on Net Sales of such Drug Product in such country of less than ** .

Unlicensed Competition. If in any country a Third Party sells a pharmaceutical product which is a “Generic Version” "generic version" of a Drug Product being sold in that country (a “"Third Party Product”)—where “Generic Version” Product") -- where "generic version" means a pharmaceutical product (other than a product originally sold as a Drug Product) that includes the same active ingredient as that used in a Drug Product—Product-- then for the period in which the unit sales of such Third Party Product in such country are at least [***], the royalties payable to Vertex VERTEX by Avalon NOVARTIS on sales of such Product in such country for such period shall be * of the royalties provided [***] in Section 6.36.3 , but in no event shall the royalties owed for such Drug Product in such country be reduced by more than *country, or result in a net when combined with any royalty rate reduction provided under Section 6.3.1 hereof, reduce the royalties payable on Net Sales of such Drug Product in such that country of less by more than [*.**]